July 21, 2024
Supply Chain Risk Management Market
Ict

Supply Chain Risk Management Market Resilience Outlines Future Growth

The global Supply Chain Risk Management Market is estimated to be valued at US$ 2.9 Bn in 2022 and is expected to exhibit a CAGR of 9.2% over the forecast period from 2022 to 2031, as highlighted in a new report published by Coherent Market Insights.

Market Overview:

The supply chain risk management market consists of software solutions that help organizations identify, assess, and minimize risks within their supply chain networks. Supply chain risks such as disruptions from natural disasters, political instability, and labor shortages can significantly impact a company’s operations and financial performance. Supply chain risk management solutions provide visibility across multitier suppliers, facilitate risk monitoring and mitigation, and help ensure business continuity. With growing geopolitical uncertainties and demand volatility, supply chain resilience is increasingly critical for companies. Risk management platforms allow organizations to shore up weaknesses in their supply networks and future-proof their operations.

Market key trends:

One of the key trends in the supply chain risk management market is the rising adoption of artificial intelligence and machine learning capabilities. Leading vendors are integrating AI/ML technologies into their platforms to help automate risk identification and mitigation. AI can analyze vast amounts of structured and unstructured data from multiple sources to detect subtle patterns and predict future risks. It also enables continuous monitoring of risks across complex global supply networks. The use of AI is allowing risk management solutions to provide more granular insights, recommend prescriptive actions, and optimize supply chain resilience on an ongoing basis. This is emerging as a major driver for adoption among enterprises looking to gain real-time visibility and responsiveness.

Porter’s Analysis

Threat of new entrants: The threat of new entrants is moderate as this industry requires substantial investment in technology and systems to provide supply chain risk management solutions. However, the growing market size provides opportunities for new players.
Bargaining power of buyers: The bargaining power of buyers is high as the supply chain risk management solutions market is fragmented with the presence of several providers. Buyers can negotiate on price and pick providers that offer customized solutions as per their requirements.
Bargaining power of suppliers: The bargaining power of suppliers is low as the supply chain risk management solutions industry depends on generic technology components and services that are easily available from multiple suppliers.
Threat of new substitutes: The threat of new substitutes is low as there are limited alternatives that can provide comprehensive supply chain risk management capabilities. However, in-house systems can be considered substitutes.
Competitive rivalry: Intense as major players compete based on product features, pricing, and customer support.

Key Takeaways

The global Supply Chain Risk Management Market Share size is expected to witness high growth, exhibiting a CAGR of 9.2% over the forecast period of 2022 to 2031, due to increasing complexities in modern supply chains that demand robust risk management solutions.

Regional analysis: North America dominates the supply chain risk management market currently, with the US contributing significantly. Asia Pacific is expected to exhibit the highest growth rate owing to growing manufacturing activities in countries such as China and India. Manufacturers in the region are investing heavily in supply chain risk management solutions.

Key players: Key players operating in the supply chain risk management market are Avetta, LLC, Cura Software Solutions, DHL International GmbH, GEP, LogicManager, Inc., Marsh LLC, MetricStream Inc., SZ DJI Technology Co. Ltd., SAP Ariba Inc., Software AG, and The AnyLogic Company, and others. Avetta, LLC specializes in supplier risk management while Cura Software Solutions offers third-party risk management solutions.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it